Dilip Kumar Swain Vs. Deputy Director, DGGI, BBSR and others (Orissa High Court)
In Dilip Kumar Swain vs. Deputy Director, the Orissa High Court addressed a challenge to a show cause notice (SCN) issued under Section 74 of the Odisha Goods and Services Tax Act, 2017. The SCN consolidated tax periods from July 2017 to March 2024, prompting the petitioner to argue that such consolidation contravenes the Act’s provisions. Referring to Section 74(10), the petitioner pointed out that the prescribed limitation period for issuing SCNs is five years from the due date of filing the annual return for a specific financial year. The petitioner, an unregistered dealer during the relevant period, also contended that Section 74 was inapplicable in their case.
The Court noted the petitioner’s reliance on a Karnataka High Court ruling in Veremax Technologie Services Ltd. vs. Assistant Commissioner of Central Tax, which held that consolidating multiple tax periods in a single SCN violates statutory provisions. Pending further proceedings, the Court granted interim relief by staying the impugned notice. The case was adjourned to January 3, 2025, allowing time for the revenue department to file a counter-affidavit. This decision highlights ongoing judicial scrutiny of procedural compliance in GST assessments.
